President Kenyatta issues executive order raising minimum wage of workers by 12%
Kenya’s President Uhuru Kenyatta has issued a directive to increase workers’ minimum wage by 12 per cent, effective immediately. The minimum wage was last reviewed upwards in May 2018 at the rate of five per cent.
The President made the declaration at Nyayo National Stadium during celebrations of Labour Day marked globally every May 1., saying the higher wages would cushion workers against further erosion of their purchasing power and guarantee the economy’s competitiveness.
“In full appreciation of the critical contribution of workers to the economy [and] following the recommendation of various stakeholders, I today declare an increase of minimum wage by 12pc points with effect from today,” he said.
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“We find that there is a compelling case to review the minimum wages to cushion our workers against further erosion of their purchasing power, while also guaranteeing the competitiveness of our economy,” Mr Kenyatta added.
Kenya’s current minimum wage is 13,500 Kenyan shillings ($116.68). Implementing the 12% increase will raise the average minimum wage to Sh15,201.64 effective May 1, 2022.
Kenyans and other countries in Sub Saharan Africa are grappling with a surge in prices of essential commodities, aggravated by supply concerns amid the Russia-Ukraine war.
This has led to inflation in the East African country rising to 6.47% year-on-year last month from 5.56% in March, according to the latest data from the statistics office.
